In short
21Shares filed with the SEC for the primary SEI ETF monitoring the Sei blockchain token with potential staking rewards for extra yield.
The applying joins a set of altcoin ETF filings as fund managers goal smaller digital belongings past Bitcoin and Ethereum.
Canary Capital filed an analogous SEI ETF software in Could.
Asset administration agency 21Shares has filed with the Securities and Trade Fee to launch an exchange-traded fund monitoring the Sei blockchain’s native token.
The proposed 21Shares SEI ETF would supply traders publicity to SEI whereas offering the potential for extra yield via staking rewards, based on a registration assertion filed Thursday.
Following profitable launches of spot Bitcoin and Ethereum ETFs in 2024, fund managers are concentrating on smaller digital belongings, together with Solana, Dogecoin, XRP, and different altcoins underneath a crypto-friendly Trump administration.
The Belief’s main goal is “to hunt to trace the efficiency of SEI,” with a secondary give attention to producing “rewards from staking a portion of the Belief’s SEI,” the submitting reads.
It’s “extremely seemingly that 21Shares’ SEI ETF can be accepted and can be out there together with Bitcoin and Ethereum ETFs,” Krishnendu Chatterjee, CEO and co-founder of A2ZCryptoInvestment, informed Decrypt.
“21Shares SEI ETF is a step in the direction of broader software in the direction of regulated alt funding (together with staking advantages),” he added.
Nonetheless, 21Shares confirmed it has not but concluded that staking may be supplied underneath a public belief construction, based on the prospectus.
The Belief will use Coinbase Custody Belief Firm as its main custodian for SEI holdings, whereas Coinbase Inc. will function the prime dealer for buying and selling actions, based on the submitting.
The transfer provides to Canary Capital’s submitting of the primary SEI ETF software in Could, which additionally shares comparable staking goals.
A number of crypto ETF purposes are actually in play and face SEC choice deadlines in October, with regulators extending evaluate intervals for spot XRP funds from a number of issuers and Solana ETF proposals, amongst others.
Business consultants extensively count on a batch of approvals starting in October primarily based on established itemizing requirements.
“Together with Digital Asset Treasury Firms, ETFs present publicity to a brand new asset class for establishments, and it isn’t an exception however would change into a brand new regular,” Chatterjee mentioned, noting “XRP, Solana, and AVAX ETFs have excessive possibilities of getting permitted by yr’s finish, even when not by October.”
SEI at present ranks because the 74th largest crypto by market capitalization at roughly $1.82 billion.
The token is buying and selling round $0.30 following latest features, based on CoinGecko, although it stays about 73.7% beneath its March 2024 all-time excessive of $1.14.
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